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LUFTHANSA UNDER PRESSURE

Lufthansa is preparing to ground more aircraft than initially planned and cut working hours during the winter amidst a surge of coronavirus cases.

the-coronavirus-effect-turmoil-for-lufthansa-group

the-coronavirus-effect-turmoil-for-lufthansa-group

Lufthansa and its subsidiaries Eurowings, Swiss, Austrian and Brussels Airlines will ground 125 more aircraft during the winter than originally planned, Chief Executive Carsten Spohr said in a letter to staff.

“It is unavoidable to ramp down operations during the winter of 2020/21 even further and to put as many areas as possible in ‘hibernation’ from mid-December”

Most of the group’s administrative staff will be put on a government-sponsored reduced hours scheme, he added.

Lufthansa said this month said it will likely only offer up to 25% of the last year’s capacity in the fourth quarter, as it reported a third-quarter operating loss of 1.26 billion euros.

COVID-19 IMPACT ON CIVIL AVIATION IN EUROPE

Lufthansa isn’t the only airline to be under pressure, in fact, all airlines globally are, however, Europe has been particularly hard-hit.

According to the ICAO, in 2020, Airlines in Europe will have a projected airline revenue loss of over $91Bn for international travel and $11Bn for domestic travel.

 

Lufthansa To Ground More Aircraft

International travel projections 2020 according to ICAO